“The fact is that financial wealth is growing in the world. Most of that growth is going to those who are older. Like almost all those with wealth, the greatest concern of those with that new wealth will be preserving it. They will as a result be intensely risk-averse.”
“”Our analysis suggests that recent increases in real interest rates are likely to be temporary," the IMF said [on] Monday. "When inflation is brought back under control, advanced economies' central banks are likely to ease monetary policy and bring real interest rates back towards pre-pandemic levels."…
The "natural" level of rates "will remain low in advanced economies or decline further in emerging markets," the IMF noted. "The natural rate is a reference point for central banks that use it to gauge the stance of monetary policy. It is also important for fiscal policy. Because governments typically pay back debt over decades, the natural rate—the anchor for real rates in the long term—helps determine the cost of borrowing and the sustainability of public debts.””
How about an “add sats” feature to introduce a queuing system to the broadcast of notes? This feature could be switched on by Nostr clients when high traffic volumes are detected.
In turn, the split of sats revenue could also involve the client taking a cut for facilitating the payment.
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Penny Problem Gap: Economists assume demand is linear, but people’s behavior totally changes once an action costs money. If the inventors of the Internet had known about it, spam wouldn’t be such a problem. If sending an email cost you $0.001, there’d be way less spam.
“The Buxton Index of an entity, i.e. person or organization, is defined as the length of the period, measured in years, over which the entity makes its plans.
For the little grocery shop around the corner it is about 1/2, for the true Christian it is infinity, and for most other entities it is in between: about 4 for the average politician who aims at his re-election, slightly more for most industries, but much less for the managers who have to write quarterly reports.”
“Cypherpunks write code. We know that someone has to write software to defend privacy, and since we can't get privacy unless we all do, we're going to write it. We publish our code so that our fellow Cypherpunks may practice and play with it. Our code is free for all to use, worldwide. We don't much care if you don't approve of the software we write. We know that software can't be destroyed and that a widely dispersed system can't be shut down.”
Today, even if 99% of your wealth is in the current system (real estate, pension funds, stock markets, bonds, bank deposits etc.) and only 1% is in Bitcoin, it’s only the latter which has a real chance of bringing about systemic change tomorrow.
“Bitcoiners have much they can learn from academia about the fiat system, which will continue to dominate for a long time. Professors are actual experts in the fiat system and often influential advisors to it. Notably, they will advise government officials and the unelected global elite on CBDCs and policies dealing with cryptocurrency and managing the fiat system through upcoming challenges. Bitcoiners can also cognitively benefit from listening to informed opinions that run contrary to their own.”
“Most economists could make more money by moving to industry. They stay in academia for the glory and influence… (Junior economists) know that they are most likely to rise within their profession if their ideas and research topics support the existing paradigm, therefore not posing too big of a threat to the senior colleagues deciding on their tenure case. By the time anyone is up for tenure, they have built a body of thought that they now identify with. While they have the freedom, potentially, to stray from that, the ideas may have solidified in their worldview.”
“…rescues distort the way capital is allocated, shifting decisions into political hands. Markets stop trying to figure out what makes economic sense, and start anticipating what the state will support. But a society exhausted by crises seems increasingly comfortable with this perversion of incentives.”
https://www.ft.com/content/176fb38d-c821-46c2-b6f8-2f66fc465ec3
One man’s pleb with a high web-of-trust score is another’s echo-chamber exploiter.
A low-tech solution would be to prune one’s follower list from time to time to remove the latter.
“…Russia’s mining activities are expected to grow due to its cold climate and various regions that offer cheap electricity.”
https://cryptoslate.com/russia-becomes-2nd-most-powerful-btc-miner-in-the-world/
“Talent vs. Genius: Society is good at training talent but terrible at cultivating genius. Talented people are good at hitting targets others can’t hit, but geniuses find targets others can’t see. They are opposite modes of excellence. Talent is predictable, genius is unpredictable.”
#Satoshi
“Hock Principle: Simple, clear purpose and principles give rise to complex and intelligent behavior. Complex rules and regulations give rise to simple and stupid behavior.”
#Bitcoin
This reminds me of the “we are so early” mantra among people who are incredibly optimistic about Bitcoin’s future trajectory.
“I believe that, over the next few decades, the emergence of BRICS as an alternative to U.S. hegemony will cause the global economy to evolve in three phases: Phase one will be a pivot from a unipolar financial world to a multipolar one. In phase two, Bitcoin becomes a medium of exchange and unit of account for many nations. In the third and final phase, we experience real hyperbitcoinization.”
Random Heresies on Bitcoin and Fractional Reserve
Or, equity, leverage, liquidity, and duration as a guide to understanding money
https://allenfarrington.medium.com/random-heresies-on-bitcoin-and-fractional-reserve-d16b9a683851
“…open source and programmable money implies open source and programmable lending. Bitcoin has properties that no previous money has ever had and so I think it is reasonable to be excited by the potential for unlocking a long tail of previously infeasible finance, even if we have no idea what any of it will actually look like.”